Malaysia’s stock market opened weaker on Monday as Bursa Malaysia followed the downward trend seen across regional markets after a sharp sell-off on Wall Street and a surge in global oil prices. The benchmark FTSE Bursa Malaysia KLCI slipped 17.17 points, or about 0.99 per cent, to 1,695.48 shortly after the market opened compared with the previous closing level of 1,712.65.
The index initially opened 10.57 points lower at 1,702.08 as investors reacted cautiously to rising geopolitical tensions and energy price volatility that have unsettled global markets. Brent crude oil prices jumped above US$110 per barrel, adding pressure to equity markets and raising concerns about inflation and economic growth prospects worldwide.
Across Asia, several major stock markets also posted losses. Japan’s Nikkei 225 fell around 1.41 per cent, while Singapore’s Straits Times Index slipped about 0.47 per cent. South Korea’s KOSPI Composite Index recorded a sharper drop of more than four per cent, and Indonesia’s Jakarta Composite Index also moved lower by nearly one per cent.
Market breadth in Kuala Lumpur remained negative as declining stocks significantly outnumbered gainers. Early trading saw hundreds of counters falling compared with a smaller number of advancing shares, reflecting cautious sentiment among investors amid external economic risks and global uncertainty.
Analysts at Rakuten Trade noted that global markets were under pressure following declines on Wall Street, where theDow Jones Industrial Average, S&P 500, and Nasdaq Composite all ended lower in the previous session. The selling pressure has been particularly strong in technology stocks across Asia as investors adopt a more defensive approach.
According to analysts, rising geopolitical tensions in West Asia and concerns over energy supply disruptions have pushed oil prices sharply higher, prompting investors to hedge risks and shift towards commodity-related or defensive sectors. This cautious positioning is expected to influence market movements in the near term.
Among heavyweight stocks on Bursa Malaysia, Malayan Banking Berhad and IHH Healthcare both declined by 12 sen, while Public Bank Berhad also slipped. Meanwhile, Tenaga Nasional managed to post a modest gain, partially offsetting broader market losses.
Market observers expect Bursa Malaysia to remain volatile in the short term as investors continue monitoring developments in global energy markets, geopolitical tensions, and economic indicators from major economies. With uncertainty still dominating global financial sentiment, analysts believe the local benchmark index may trade within a cautious range in the coming sessions.
